Organizations should not only be concerned with attracting talented employees, but with keeping them. A high turnover rate happens when too many employees leave the company within a specific time. Organizations that want to succeed should recognize the value of their current workforce and implement employee benefits programs and other strategies that will help them maintain a high-performing team. Here are six top ways to reduce employee turnover.
Recruit the Right People from the Beginning
It can be difficult to lower the employee turnover rate when you keep recruiting and hiring the wrong people. So, how do you find the right person for the job from the get-go? First, it is crucial to clearly communicate the organization’s culture so that candidates know what to expect.
In addition, the job requirements that come with the position should reflect the actual responsibilities that the new employee need to cover. Organizations should get to know potential candidates as much as possible to decide if they are a good fit. That said, if you already have toxic employees in the workplace, you need to monitor them closely. Otherwise, their negative behavior can motivate good employees to leave and seek employment elsewhere.
Stay Competitive with Your Compensation
The right salaries and employee benefits programs are one of the biggest reasons why employees show up to work every day and remain motivated to work harder. If you are looking to reduce employee turnover, the only way you can make a big dent in those rates is by offering high pay and the best employee benefits programs. Companies should start by investigating the market to figure out proper starting salaries that reflect the market rate and allow them to remain competitive when attracting top talent. They should also be willing to adjust wages upwards and pay extra for skills that are in demand.
Recognize and Reward High-Performing Employees
In most instances, it does not require a big budget to recognize and reward employees for their hard work. The mistake that most companies make is to only focus on employee performance reviews that involve criticizing employees and pointing out room for improvement. While constructive criticism works, it has its own time and place. Consider several ways to reward and recognize employees, such as thanking them and sending written notes of appreciation. You can also create personalized employee recognition certificates and plaques, provide positive feedback in meetings, offer gift cards and physical rewards, give employees paid time off, and more.
Create a Flexible Work Environment
Besides sprucing up your employee benefits programs, improving job flexibility is one of the easiest strategies for reducing turnover in an organization. The goal is to provide your employees with more freedom and latitude so they can do their job better. Your employees are more likely to be loyal if you provide them with flexible job opportunities. A popular example of a flexible work environment is when companies allow their employees to work from home where possible. Creating a flexible work environment can also mean implementing a compressed work week or providing employees with the right tools so they can do their job better.
According to a survey conducted by Hayes, 43% of employees said they were looking for a new job, and corporate culture was to blame. But you can reduce and avoid complaints like these by creating a work culture that is flexible and accommodating. By relaxing your strict restraints and rules, you may be surprised to see that productivity increases by a wide margin.
Find Ways to Boost Employee Engagement
It is crucial for organizations to always monitor employee engagement. Simply put, employee engagement refers to how connected your employees feel when it comes to their job and the organization they work for. If there is a disconnect, it means that employees do not have a good relationship with managers or coworkers. There may be other reasons why your workforce might not be as engaged. The best solution is to give your employees a voice. You will want to get feedback directly on what you can do to boost employee engagement: whether that optimizes your employee benefits program or offering annual company trips.
Support Employee Professional Development
Employees want to thrive in positions where there’s room for opportunities that foster career growth, professional development, and continuing education. As such, it is important to provide training opportunities and flexibility so that employees can work on themselves and improve their career prospects. You should also provide existing workers with the chance to move up the ladder internally.
When an organization tries to reduce the employee turnover rate and improve hiring and retention, they can reap many rewards. For starters, when you manage to hold onto your talented workers, you can significantly improve profits by reducing hiring costs. Employee benefits programs can especially help you boost employee satisfaction. Contact Referria today to discover how we can help you create a healthy turnover that puts you at the top when it comes to corporate profitability.